Friday, July 25, 2014
As I have previously discussed, heirs of Samsung Electronics Group’s founder face a $6 billion inheritance tax bill. Samsung Group chairman Lee Kun Hee, 72, is a legendary figure who turned Samsung Electronics into a powerful conglomerate. Yet for the last three months, Lee has been in the hospital since suffering a serious heart attack.
Under Korean inheritance law, an heir must pay fifty percent in tax when inheriting such wealth. Tax attorney Kim Hyeon Jin says avoiding the bill may be possible if the money is placed in a foundation, however, that will cause the Lee family to lose control of some of their assets.
Reports claim that in order to pay for the hefty bill, the Lees plan to open two additional Samsung businesses: Cheil Industries Inc. and Samsung SDS Co.
See Ren Benavidez, Samsung Heirs Could Pay a Massive US $6 Billion Inheritance Tax, China Topix, July 32, 2014.